Delek Logistics Partners Delivers Exceptional Third Quarter Performance, Sets Stage for Sustainable Growth and Long-Term Value
Delek Logistics Partners, a leading midstream energy company, announced impressive third quarter results, exceeding expectations and solidifying its position as a top performer in the industry. The company's Adjusted EBITDA reached $143 million, a testament to its operational excellence and strategic growth initiatives.
In a conference call with analysts and investors, Avigal Soreq, President and Chairman of Delek Logistics Partners, highlighted the company's strong performance across all segments. 'We continue to see tremendous growth potential for Delek Logistics as we are uniquely positioned to meet our customers' increasing needs for midstream services across crude, gas, and water in the Permian Basin,' she stated.
One of the notable highlights from the quarter was the completion of Delek's first sour gas compressor station and AGI well. This significant investment is expected to boost system utilization and potentially lead to expansion of processing capacity. The company is confident that this new infrastructure will support customer growth objectives in the Delaware Basin.
The crude segment also demonstrated strong performance, with sustained production across the operating footprint. Delek Logistics Partners' water business showed similar success, with continued exploration of growth opportunities. The company's diversified offerings and strategic positioning have improved its competitive position, establishing a platform for future expansion.
'During the quarter, we extended our debt maturities and completed our equity offering to support growth investment while maintaining balance sheet strength,' noted Avigal Soreq. This financial discipline is a cornerstone of Delek Logistics Partners' company philosophy, reflecting its commitment to responsible capital management.
In recognition of its exceptional performance, the company's board of directors approved its 55th consecutive quarterly distribution increase, raising the distribution to $1.14 per unit. This achievement reflects the outstanding work of the team and demonstrates the company's dedication to delivering sustainable growth and long-term value for its unit holders.
Mark Hobbs, Executive Vice President, emphasized Delek Logistics Partners' unique position in meeting customer needs across crude, gas, and water services in the Permian Basin. 'We see tremendous growth potential as producers continue to secure acreage and future drilling locations in the northern Delaware Basin,' he stated.
The company's strong performance has set the stage for continued growth and long-term value creation. With its diversified offerings, strategic positioning, and commitment to financial discipline, Delek Logistics Partners is well-positioned to meet the increasing needs of producers in the Permian Basin.
